Republicans plan to cut off the US audit regulator

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The Republican lawmakers plan to close the US audit regulator, which was founded as a result of the scandal with Enron more than two decades ago as part of a reform package aimed at providing Donald Trump’s deregulation program.

The proposal to eliminate the independent accounting council for accounting was published on Friday on Friday by the leadership of the House of Representatives Committee for inclusion in the giant tax and bill on the costs considered by the Congress.

Under Creation of legislationThe gathering on the listed companies and brokers finance PCAOB will be withdrawn and the responsibilities of the organization will be drawn up for securities and exchanges.

The PCAOB was created to control the audience and the regular checks of firms auditing US state -owned companies after Enron collapse in 2001, which were lacking in the previous self -regulation.

Accounting firms opposed the leadership of the activist Eric Williams, under which the agency imposed new tough standards and fines in the field of action.

Any efforts to eliminate the agency are likely to meet the Democrats resistance and cannot gain complete approval of audit firms.

The quality of the audit that represents the largest firms has called on the agency to be more responsive To accounting firms, but previously lacked calling for its elimination.

While PCAOB employees may be given the opportunity to move their roles to the SEC, in many cases they would have to reduce the payment because the organization is not subject to state salaries.

Critics claim that such a step will significantly violate the audit check.

But Christina Ho, a PCAOB board member, who opposed several Williams’ signature initiatives, said SEC salaries could be higher than in many government agencies. “The SEC had no difficulties to attract and keep the talents,” she said.

The draft legislation of the Committee also delays any non -funds under the $ 1 billion refurbishing program. In accordance with the Law on Inflation, the iconic climatic legislation Joe Biden and reduces the budget of the Consumer Financial Defense Bureau.

However, it faces procedural obstacles. The Full Financial Services Committee will consider the legislation in the coming days, but whether it will be included in the bill on taxes and expenses, known as the reconciliation bill, will depend on the negotiations within the national leadership in the House and the Senate and whether it will be considered a budget measure.

Sandy Peters, Head of Global Propaganda at the CFA Institute, a professional investor body, said the creation of PCAOB had led to dramatic improvements as an audit.

“The largest and most effective capital market requires a strong, apolitical and independent audit regulator and accounting standard,” she said. “If capital formation is a priority for the administration, it violates it.”